Gordon Stein, CFO of CleanTech Lithium, explains why CTL acquired the 23 Laguna Verde licenses. Watch the video here.
Part 3
Government will soon find that they will be up against insurmountable challenges with import of primary fuel both in terms of technical and financial constraints. They will be forced to fall back on own coal but by that time enough damage will have been be done to national vision of achieving power for all at affordable cost by 2021. So the suggestion is, get those sets of technical documents that have been reviewed by international experts and make those available to the government and go ahead with mining our own coal at Phulbari and Barapukuria adopting the preferred method of mining. Off course, all perceived and conceived impacts management process must be in place and affected communities must be properly compensated and rehabilitated
Our limited natural gas resource is already showing alarming signs of depletion. The government has rightly adopted fuel diversification policy. But instead of making our own coal as preferred fuel it has planned for imported coal and imported LNG without making required techno-economic feasibility study.
Bangladesh will require about $40 billion in investment to achieve its 24,000 MW power generation target by 2021. Most of it will be required under the current plan in arranging primary fuel. Substantial investment will be essential for setting up enabling infrastructure for coal and LNG import. We have seen though government celebrated achievement of 10,000 MW installed power generation capacity with expensive fireworks it could hardly generate about 7,000 MW. The major reason for this is fuel supply constraints and peak shaving mode of a portion of new generators. In the case of gas fired power, excessive reliance on Chevron Bibiyana Gas field, may also bring disaster if it continues to over produce.
Bangladesh has five discovered coal mines in a small area of greater Rangpur and Dinajpur. At two of these five -- Barapukuria and Phulbari -- are perfect bound coal seams. Detail technical studies were conducted under a signed international contract my accredited international consultants on various impacts with suggestions for impacts management while suggesting open pit mining from a BHP discovered coal mine at Phulbari. These documents are gathering dust at government's disposal since end 2005. Government could neither dispute those with authentic counter arguments nor take appropriate decision for commencement of mining. Rather government made the situation muddy by wasting time on unnecessary coal policy despite the fact that we already have Mines and Minerals acts and policies.
In a recent media interview Dr Tawfique Elahi Chowdhury, Energy Advisor to PM, talked about open pit mining from a section of Barapukuria mine. If that is the case what is stopping government from reviewing the huge technical documents lying with government in support of open pit mining of Phulabaria coal? Dr Elahi would say about water modelling being done by his local experts over the past two to three years. It is a way of wasting time and working for an Energy Mafia Syndicate making Bangladesh a hostage in their hands.
Government will soon find that they will be up against insurmountable challenges with import of primary fuel both in terms of technical and financial constraints. They will be forced to fall back on own coal but by that time enough damage will have been be done to national vision of achieving power for all at affordable cost by 2021. So the suggestion is, get those sets of technical documents that have been reviewed by international experts and make those available to the government and go ahead with mining our own coal at Phulbari and Barapukuria adopting the preferred method of mining. Off course, all perceived and conceived impacts manage
Bangladesh has substantial but mostly unexploited superior quality (higher heating value, low sulphur, and low ash) black coal (bituminous) resources which if exploited adopting off-the-shelf state-of-the-art technology can facilitate generation of 20,000 MW coal based mine-mouth power for 50 years. But confused state of decision makers arising out of ill motivated unprofessional propaganda of a vested interest quarter makes professionals anxious that Bangladesh coal may remain buried forever.
It sounds silly that Bangladesh instead is harbouring the plan of relying on imported coal with no enabling infrastructure for coal import and not enough proven managerial or technical capacity to implement mega projects. Concerned authorities appear to be groping in the dark as well. There is no firm commitment for coal supply from any source, no in-depth techno economic feasibility study on price of power that would be generated from imported coal. One must keep in mind that billions of dollars will be required for setting up of a coal port with required coal handling and storage facilities. Bangladesh being one of the most vulnerable country affected by Green House gas (GHG) emissions with frequent visits of flood , cyclones and tidal surge have to use higher quality expensive coal and adopt super critical or ultra super critical technology .
Putting all these together Bangladesh will find it extremely challenging to implement any of the many imported coal-fired power plant projects. Many professionals are of the opinion that Bangladesh could be much better off in exploring and exploiting its own coal and setting up mine-mouth power plants. The challenges of mining own coal cannot be greater than relying on imported coal. All the impacts those are being talked about are technically manageable. Government has enough documents at its disposal on how to deal with these. But a vested interest group inside and outside the government manages to misguide the Prime Minister making it extremely difficult for Bangladesh achieving long term energy security.
Bangladesh has a national vision of achieving medium income country status on its Golden Jubilee Year of National Independence in 2021.There are very encouraging signs that if planned properly and implemented with clinical perfection it will not be beyond the reach . But to reach there Bangladesh will require sustainable energy security. All our achievements - food for all, quality education, and quality medical care, rapid industrialization for economic development and creating jobs for poverty alleviation, creating better communication infrastructures, digitization of activities are contingent upon availability, accessibility and affordability of energy. All these will depend on sustained availability of primary fuel at affordable cost.
Our limited natural gas resource is already showing alarming signs of depletion. The government has rightly adopted fuel diversification policy. But instead of making
http://energybangla.com/govt-difficulty-scrap-deal-phulbari-coal-mine/
Read this carefully you will understand
GPback exciting times ahead I can not see GCM arround for too long .people like mittal will buy this company as soon as green light is given .which looks very promising at the moment. I dont think people have realised the protantal 572 million tonnes its world class mine and remember this time its clean energy coal to electric. Not much pollution so it should pass the government legislations .its good they putting the land to good use people cant live on the coal mine due to the gasses produced its unhealthy for the public. So the government will give the green light to this project .
This time there is no resistance ,no problems . I have checked with Adbul malik one of the main guys .this is a buy and hold for me until full value is realised. Could be over £5 in a few short months .good luck every one have a lovely weekend God bless GCM and us .
This is old but can show you the protatiol .
For new investors - significant short term potential.
In light of all the evidence to date, and given the positive statement contained within Polo's RNS, I thought it would be worth a repost of the info below:
shares mag.
"Market chatter suggests GCM Resources is on the verge of
getting governmental approval to start its Phulbari coal mine in
Bangladesh. While there have been market rumours to this
effect for several years, Herbert says GCM¿s situation ¿is beginning
to look real¿. Bangladesh has realised it is needs to be industrialised
and the country¿s serious power problems resolved.
Coal as a fuel for power stations is therefore a strategic asset, so
GCM¿s project could well see the government take a stake alongside
a local power company. Phulbari will cost an estimated $1.5
billion to develop, $400 million of which is earmarked to rehouse
thousands of people living on the site of the coal deposit, which
has been the key point of opposition to the mine to date."
Basic info for share price potential - (Paesano's calcs)
Refer to 2005 Cazenove broker note:
http://img228.imageshack.us/img228/5789/gcmcazenovetw6.pdf
Pre-diluted NPV/sh (£) expectation 2 years BEFORE production:
WACC (weighted average cost of capital) of between 10%-14% provided at estimated share price of between £10.70 and £18.00. The current industry average for WACC is 11% - meaning between £13.80 - £18.00 based on the older figs.
Post diluted NPV/sh (£) expectation 2 years BEFORE production:
WACC 10%-12%, resulted in an expection of **£11.30-£14.70 **
Now remember, all of that was based on a coal price assumption of $44.4/t. Thermal coal is already over $100 with expectation next year to see $110 and for coking coal they are already over $200/t.
Remember also that Cazenove also based their work on the resource known at the time - 370mt, not the subsequent **572mt JORC **
GCM is HIGHLY LIKELY to be a takeover target after mining approval due to world class coal asset. Below is a recent buy out comparison to estimate likely gcm offer.
http://www.bloomberg.com/news/2010-07-04/banpu-agrees-to-buy-rest-of-australia-s-centennial-coal-for-a-6-20-a-share.html
Re Banpu recommended acquisition of Centennial Coal (which was a 15mt per year coking/thermal producer in 2009) is at a multiple of over 11 x EBITDA; at production stage at same multiple that could translate to £88 here (post development equity raise assumptions). GCM see Bangladesh as the cheapest cost producer. But that is potential production value some 7 years off if green light today subject to going it alone.
Based on Centennial's marketable reserves (as not all coal can be extracted, different amounts recovered due to mix of mining methods etc) of 404mt this works out at roughly $5.3/t. Some in-ground valuations have been at $8/t. Difference between in-ground and production value of reserves depends among other things
The Company has continued its rigorous attention to cost cutting and capital efficiency and expects the funds received to now fund it through to at least the middle of the year. They will need to pay the loan back and will need more money to continue
Stop being silly they are doing a placing soon read the last RNS the loan has to be payed back and they need more money say 6 million I would say . more stock coming I would say 3p again . Am not buying until it goes to 3p made good money on the last spick
I think there's something wrong with you mentally that's why every one has left the chat . Good luck and look arround you talk to you're self mate
I also hold shares in PVR /Nuog I don't post much on PVR but from what am reading early bird you just need to look at other peoples opinions also it's not only about what you think my friend is the right way you're just one to major co it's not the way to ramp up a stock
I think it's going to fly back words they have no cash and by the time they get in to crypto currency Hype it's going to be too late it's only worth 20 p in my book AIM Directors always dream then they do a placing
And no money in bank am sure the be a placing coming soon
Short this shit all the way down to 20p
I think you're going to lose your pants with some Brown sauce on the way out
It is only an investment company with no money in the bank no profit coming in and no experience in crypto currency or block chain
No mate been in the market for 32 years seen all this hype what it does to pepole good luck tho
Stop ramping this pepole will lose money good luck I said what I had to say